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BrandZ Top 100 Most Valuable Global Brands

The seventh annual BrandZ™ Top 100 Most Valuable Global Brands study published by Millward Brown reveals that top brands thrive despite economy, and the first African brand enters the ranking.
No.1 brand Apple grows 19% to $182.9 billion while IBM eases past Google to take No.2 spot

Richard Stewart, MD Millward Brown South Africa, handing an award to Jen Roberti, Group Executive, Group Marketing for MTN for being the first African brand to make it on the rankings
Richard Stewart, MD Millward Brown South Africa, handing an award to Jen Roberti, Group Executive, Group Marketing for MTN for being the first African brand to make it on the rankings
After years of focus on BRICs and countries in the wider APAC and LatAm region, this year's BrandZ™ Top 100 Most Valuable Global Brands study highlights the progress of Africa's economic development with the arrival of the first African brand in the Top100 - African mobile company MTN - No 88 at $9.2 billion.

Africa's new story is about economic growth, and despite the turbulent global economic environment, the continent is moving robustly forward - sub-Saharan Africa grew at 5.9% in 2011, making it one of the world's fastest growing regions.

MTN's position in the Top 100 is a reflection of the rise of technology and the growth of mobile, on a continent where half of the 1bn people now have a mobile phone. In fact mobile is at the heart of a revolution that encompasses many activities, from banking, where M-Pesa in Kenya has made such an impact, to agriculture and healthcare. This is a thriving continent and as people gain in prosperity they will increasingly want to buy branded goods - as we have seen in other emerging economies.
BrandZ Top 100 Most Valuable Global Brands
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South African companies are responsible or have ownership of some major international brands such as SABMiller's beer brands, Rembrandts ownership of Dunhill and other luxury brands such as De Beers.

But it's not just African brands that are flourishing south of the Sahara. Around 40% of Guinness's sales come from Africa, Airtel's third quarter results showed a 16% increase in revenue in Africa. Similarly Orange enjoyed rapid growth in Africa in 2011, while Walmart invested there with the acquisition of Massmart. Chinese brands too are turning to Africa for growth. South African owned media conglomerate Naspers owns major shares in Chinese Internet service portal Tencent. Number 37 in the ranking, Tencent grew its brand value by 19% and is valued at $17.9 billion.

The rise of Africa is an indicator of the changing orientation of the global economy. Africa's raw materials have attracted the attention of China, both as a lender and trade partner, and this investment has been a critical driver of current growth.

"MTN is very proud to be highlighted as the first African Brand to be included in the BrandZ Top 100 Most Valuable Global Brands. There are so many positive growth stories from Africa and emerging markets, and while the spotlight right now is on MTN, we hope that this will focus attention on the limitless potential of our markets. Our success is a testament to our employees, our loyal customers and the amazing spirit of our continent, which we have always endeavored to portray as the essence of the MTN brand," commented Jen Roberti, Group Executive, Group Marketing MTN.

Meanwhile the world's biggest brands have continued to grow in value during the current economic uncertainty, according to the BrandZTM Top 100 Most Valuable Global Brands study. The No1 brand for the second year, Apple, rose 19% in value and is now worth $182.9 billion. IBM grew 15% in value to $115.9 billion and overtook Google, which dropped to third place in the ranking and is now worth $107.8 billion. In advance of its IPO, eight-year-old Facebook rose 74% in value, making it the fastest brand value riser in the ranking. Worth $33.2 billion the social network moved up to No.19 from No.35.

The 2012 BrandZ Top 100 Most Valuable Global Brands ranking demonstrates the power of strong brands as both a driver of new business growth and a critical support in hard times. Between 2006 and 2012, the total value of the BrandZ Top 100 rose 66% and is now worth $2.4 trillion.

The study, commissioned by WPP and conducted by Millward Brown Optimor identifies and ranks the world's most valuable brands by their dollar value, an analysis based on financial data, market intelligence and consumer measures of brand equity.

"Brands are an insurance policy for businesses," said Eileen Campbell, Global CEO of brand research company Millward Brown. "Despite a prolonged period of economic stress, political uncertainty and natural disasters that buffeted brands across many categories, the value of the world's leading brands keeps rising across many categories, sustaining and nurturing businesses."

The Top 10 Most Valuable Global Brands 2012

CategoryBrandBrand Value
2012 ($M)
404Fast FoodMcDonald's95,188
606Soft drinksCoca-Cola74,286
7-18Communication ProviderAT&T68,870
1349Communication ProviderVerizon49,151
9-110Communication ProviderChina Mobile47,041

David Roth for WPP said, "Brands help businesses create competitive differentiation, command a price premium and become more resilient to crises or economic turbulence. This year, those businesses that leveraged technology, focused on the customer experience or boosted control of their brands thrived."

Apple continues to innovate and maintain its 'luxury' brand status, but faces future competition from Samsung. Now worth more than $14.1 billion, thanks in part to the success of its Galaxy handsets, Samsung is successfully outpacing Apple in a significant number of markets by positioning as a cool, well-priced alternative to the ubiquitous iPhone.

Key findings highlighted in this year's research report include:
  • Technology Prevails: Technology has become ubiquitous in all areas of our lives. Seven of the top 10 brands are technology or telecoms brands. However, the power of smart, simple-to-use technology can also be seen beyond these two sectors. In other categories - cars, financial services, luxury and retail for example - we can also see that brands are gaining significant advantages by using smart technology to enhance their customer experience. For example, Burberry - up 21% to $4 billion - created a virtual world where younger brand followers can view fashion shows and more.
  • The Rise of Africa: This year's ranking highlights the progress of Africa's economic development with the arrival of the first African brand in the Top 100 - African mobile company MTN - No 88 at $9.2 billion.
  • The Future is Mobile: The future of the internet will be predominantly mobile rather than computer based. Mobile, to some extent, has been shielded from the recession as one of the few items consumers don't want to give up or cut back on. The most valuable telecoms brand is AT&T worth $68.8 billion. Whilst the USA's largest mobile service provider, Verizon, increased its brand value by 15% in the last year and is now worth $49.1 billion.
  • Retail: Constructing an Omni-Channel Business: The customer experience is a new focus for many retailers as they recognise its importance in keeping customers loyal and the need to be present anywhere and everywhere on the path to purchase. Walmart knocked Amazon from the top position and its brand is now worth $34.4 billion whilst Amazon is now worth $34 billion.
  • Brands with Women on the Board Outperform: As the number of women on corporate boards continues to rise, the BrandZ Top100 study this year reveals the success that women bring to brands. 77% of the brands appearing in the BrandZTM Top 100 Most Valuable Global Brands have women in the boardroom. The average value of brands with women on the boards is $27 billion, double that of those companies without female directors. Not only that, these brands also show an average five-year growth of 66% compared to an average growth of only 6% for those BrandZ Top100 brands that don't have a woman on the board.
  • Strong Brands Provide Better Shareholder Value: An analysis of BrandZ Top 100 Most Valuable Global Brands as a 'stock portfolio' over the last seven years shows a highly favorable performance compared to a current stock market index, the S&P500. While the total return on investment (ROI) for all companies in the S&P500 index was just 2.3%, the BrandZ Portfolio provided a 36.3% ROI, proving that companies with strong brands are able to deliver better value to their shareholders.

BrandZ Top 100 Most Valuable Global Brands
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The BrandZ Top 100 Most Valuable Global Brands study is the only valuation in the world that takes into account what people think about the brands they buy alongside rigorous analysis of financial data, market valuations, analyst reports and risk profiles. The research report, which is available online, includes a ranking and analysis of the most valuable brands for key regions of the world and 13 market sectors. Download the complete BrandZ ranking here, including regional and category breakdowns. The rankings and a great deal more are also available as a free interactive mobile app for Apple and Android and as an iPad magazine.

BrandZ Top 100 Most Valuable Global Brands
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BrandZ Top 100 Most Valuable Global Brands
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25 May 2012 06:30



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